MicroStrategy, the biggest corporate holder of Bitcoin (BTC), has been attracting a lot of attention from cryptocurrency enthusiasts. This is not only due to its continuous acquisitions of BTC but also because of its impressive returns that have outperformed Bitcoin itself. Despite the market uncertainties leading to fluctuations in price, BTC has struggled to gain momentum, while MicroStrategy (MSTR) has shown consistent growth over the last four years.
MircoStrategy Outperforms Bitcoin
On October 8, 2024, the on-chain analytics firm CryptoQuant posted on X (formerly Twitter) that since mid-2020, MSTR has experienced a substantial price surge of over 1,208%, compared to Bitcoin’s gain of only 445%. This growth began when MicroStrategy started acquiring BTC.
MircoStrategy’s Bitcoin Holdings
Since August 2020, MicroStrategy has bought 252,220 BTC at an average price of $39,266, totaling nearly $15.85 billion. With BTC currently trading around $62,250, MicroStrategy is making a profit of $22,985 per Bitcoin.
CryptoQuant pointed out that MSTR behaved like a leveraged version of Bitcoin during bullish phases. In recent years, MSTR has reached multiple all-time highs, with its stock price soaring significantly.
With an impressive surge of over 3.3%, MSTR has reached $196.2, just 2% away from its all-time high.
MSTR Technical Analysis and Key Levels
Expert technical analysis suggests that MSTR looks bullish as it has broken out of a six-month consolidation zone. Since March 2024, the stock price has been consolidating in a tight range between $110 and $185.
Today’s surge of over 3.3% has propelled it out of that zone and closed a daily candle above it, signaling a bullish trend for MSTR holders. There is a strong possibility that the stock price will rise significantly in the near future.
However, MSTR’s Relative Strength Index (RSI) is currently in the overbought zone, indicating a potential price correction or decline in the coming days.